In a fast-changing digital world, telecom services have become as essential as petrol, and this shift is making investors look at Bharti Airtel as a solid long-term growth opportunity.
Kunal Vora, Head of India Equity Research at BNP Paribas, believes that just like petrol, people can’t avoid spending on mobile data and calling services anymore — even when prices go up.
“Telecom is like petrol — you have to just fill it,” he said, suggesting that customers now treat mobile bills as a fixed and non-negotiable part of their monthly budget.
Tariff Hikes May Not Hurt Users, but Help Companies
Vora shared that his team did multiple channel checks and found that consumers are ready to accept higher telecom bills. Even with price increases, people are unlikely to cut back on mobile usage because these services have become essential for work, entertainment, and staying connected.
This shift in consumer mindset gives telecom companies, especially Bharti Airtel, a strong reason to increase tariffs regularly — maybe every year or at least once in two years. This would lead to consistent growth in revenues and profits, without losing customers.
Industry Setup Favors Airtel
The structure of the telecom industry today is also helping Bharti Airtel. With fewer big players in the market and strong demand for data, companies with a strong base like Airtel are better positioned to grow and improve their financial health.
Since it’s a capital-heavy industry — meaning companies have to invest a lot in infrastructure like towers and networks — those who’ve already built a strong foundation can now focus on growth, while new players may find it hard to compete.
Final Thoughts
In short, Bharti Airtel is no longer just a telecom service provider; it could become a steady compounder — a company that grows earnings steadily over time. And with consumers treating telecom bills like petrol expenses, the road ahead looks promising for both the company and its investors.
